N. Caledonia Money

Extraordinary Change in Three Years

From Our Own Correspondent

Noumea, Aug. 15.

IN the three years since Prance signed the armistice with Germany (June 30, 1940, to June 30. 1943) the Noumea branch of the Bank of Indo-China has: — increased its note circulation from 55 to 138 million francs; increased its deposits from 43 to 131 million francs; increased its account with the Treasury from 55 to 94 million francs.

Local currency issues (banknotes in cir culation) have in the three years since the bank was taken over by Fighting France increased from 153 to 354 million francs. On the collapse of France these commitments were backed by only 1.46 per cent, foreign exchange; to-day such back ing in Australian and New Zealand pounds and Canadian and United States dollars amounts to over 60 per cent. Of this foreign exchange, no less than 82 per cent, is represented by US dollars.

Local advances, to the Caledonian and New Hebridean administration, etc., are on a moderate scale. The whole position reflects the Colony’s prosperity and abun dant reserves.